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The Municipal Partnering
Initiative
Mixed Purchasing in Local Government
By: David Rauch
Overview
 History and Explanation of Program
 Research Questions
 Data Collection Method
 Research on Contracting & Intergovernmental Relations
 Procurement Data Analysis
 The MPI Experience
2011 Services # Comms. 2012 Services # Comms. 2013 Services # Comms.
Crack Sealing 12 Crack Sealing 14 Crack Sealing 15
Resurfacing 5 Resurfacing 8 Resurfacing 6
Concrete 8 Concrete 11 Concrete 15
Sewer Lining 12 Sewer Lining 10 Sewer Lining 14
Sewer TV 4 Sewer TV 7 Sewer TV 6
Leak Detection 5 Leak Detection 5 Leak Detection 7
Hydrant Painting 6 Hydrant Painting 6 Hydrant Painting 7
Emergency Contr. Asst. 11 Contractor Asst. 9 Emergency Contr. Asst. 9
Water Meter Service 3 Water Meter Service 7
Cold Patch 9 Cold Patch 8
Hauling And Delivery 5 PW Hauling/Delivery 3
Pavement Marking 4 Line Painting 4
Bridge/Retaining Wall 2 Bridge Inspections 2
Custodial Services 8
Janitorial 4
Asphalt Patching 4
Tree Trimming 16
Street Sweeping 3
Sewer Cleaning 2
Generator Maintenance 8
HVAC Maintenance 8
JULIE Locates 2
Manhole Rehab 6
Valve Turning 5
Tree Removal/Stump Grind 16
EAB Treatment 2
Uniforms 5
Auditing Services 6
Inspectional Services 5
Landscaping 10
MPI Services Offered
2011-2013
Growth of MPI
2012
Highest # of services - 7
2013
Highest # of services - 11
2014
Highest # of services - 23
Research Questions
 Have the communities that are involved saved money
as a result of their participation? If so, how?
 What were the intergovernmental dynamics that lead to
the MPI?
 How has the MPI adapted since its inception?
 Are there lessons to be learned from the MPI’s
experience?
Three MPI Services
Sidewalk Removal & Replacement
Cold Patch
Crack Sealing
Research on Intergovernmental
Relations and Contracting
Intergovernmental Relations
Contracting (Private/Public)
Procurement
Reasons for Joining MPI
Purchase Cost and Time – Best Practice
Example - City of Charlotte, NC
Hours Percent
Cooperatives
Total 16
Total Days 46
Total weeks 6.2 30%
COST $596.00
RFP
Total 49
Total Days 112
Total weeks 15.20 100%
COST $1,345.05
Construction Cost Trend Lines 2008-2013
Construction Cost Trend Lines
2008 2009 2010 2011 2012 2013
Bituminous Asphalt Per Ton
National Ready Mix Concrete Price
Fuel per Gallon
Ill. Hwy. Laborer Prevailing Wage
Construction Cost Average
Procurement Data Analysis – Crack Sealing ($/LBS.)
Non-MPI Price – Red Solid Line
MPI Price (2011-2013) – Green Square Line
DuPage Community Price – Purple Rectangular Line
Procurement Data Analysis – Sidewalk
Removal and Reconstruction ($/Foot)
Non-MPI Price – Red Solid Line
MPI Price (2011-2013) – Green Square Line
DuPage Community Price – Purple Rectangular Line
Procurement Data Analysis – Cold Patch ($/Ton)
Kansas City Regional Purchasing Cooperative -
AMINISTRATIVE SAVINGS CALCULATION
Staff Time # Hours Rate Total
Clerical Support –
Includes producing, assembling, reproduction of
documents, and preparation for mailing of
documents/envelopes.
hrs $ hr $
Buyer Hours
Includes requisition review, research, determine source
selection method, prepare draft and reviewing of bid
document, bid opening, bid evaluation, award
process.
hrs $ hr $
Other costs - No. of Units Unit Cost Total Cost
Paper
Envelopes (including bid return envelopes, if your entity
would normally have provided these)
sheets
envelopes
ea
ea
$
$
Postage postage/qty ea $
Computer usage hrs ea $
Advertisements (when legally required or required by
your entity policies)
ads placed ea $
Total Administrative Cost To Produce Bid: $ ___
Glenview Staff – Estimated Cost Savings of 2013 Projects
Project Number of
Communities
Total Project
Value
Savings
Crack Sealing 15 $555k $40-50k
Resurfacing (Lake Groups 1&2) 4 $3.2m $101-121k
Resurfacing (Cook Group) 2 $2.3m $148-158k
Concrete Flatwork (Groups 1-5) 15 $890k $57-77k
Concrete Pavement (Groups 1&2) 4 $537k $15-19k
Sewer Lining (Groups 1-4) 14 $4.0m $51-61k
Sewer TV 6 $261k $56-66k
Contractor Assistance 9 $126k $23-31k
Leak Detection 3 $53k $5-8k
Hydrant Painting 6 $74k $20-30k
Asphalt Patching 2 $173k $2-4k
Cold Patch 8 $138k --------
Hauling & Delivery 5 $500k $2-4k
Pavement Marking 4 $167k --------
Custodial Services 8 $534k $12-14k
Street Sweeping 3 $174k $2-4k
Generator Maintenance 7 $96k $18-24k
TOTAL SAVINGS REALIZED $552,000 – 671,000
15
Close-Knit Communities
2011 Services # Comms. 2012 Services # Comms. 2013 Services # Comms.
Crack Sealing 12 Crack Sealing 14 Crack Sealing 15
Resurfacing 5 Resurfacing 8 Resurfacing 6
Concrete 8 Concrete 11 Concrete 15
Sewer Lining 12 Sewer Lining 10 Sewer Lining 14
Sewer TV 4 Sewer TV 7 Sewer TV 6
Leak Detection 5 Leak Detection 5 Leak Detection 7
Hydrant Painting 6 Hydrant Painting 6 Hydrant Painting 7
Emergency Contr. Asst. 11 Contractor Asst. 9 Emergency Contr. Asst. 9
Water Meter Service 3 Water Meter Service 7
Cold Patch 9 Cold Patch 8
Hauling And Delivery 5 PW Hauling/Delivery 3
Pavement Marking 4 Line Painting 4
Bridge/Retaining Wall 2 Bridge Inspections 2
Custodial Services 8
Janitorial 4
Asphalt Patching 4
Tree Trimming 16
Street Sweeping 3
Sewer Cleaning 2
Generator Maintenance 8
HVAC Maintenance 8
JULIE Locates 2
Manhole Rehab 6
Valve Turning 5
Tree Removal/Stump Grind 16
EAB Treatment 2
Uniforms 5
Auditing Services 6
Inspectional Services 5
Landscaping 10
MPI Services Offered
2011-2013
Conclusion and Questions

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The municipal partnering initiative 0810 longer

  • 1. The Municipal Partnering Initiative Mixed Purchasing in Local Government By: David Rauch
  • 2. Overview  History and Explanation of Program  Research Questions  Data Collection Method  Research on Contracting & Intergovernmental Relations  Procurement Data Analysis  The MPI Experience
  • 3. 2011 Services # Comms. 2012 Services # Comms. 2013 Services # Comms. Crack Sealing 12 Crack Sealing 14 Crack Sealing 15 Resurfacing 5 Resurfacing 8 Resurfacing 6 Concrete 8 Concrete 11 Concrete 15 Sewer Lining 12 Sewer Lining 10 Sewer Lining 14 Sewer TV 4 Sewer TV 7 Sewer TV 6 Leak Detection 5 Leak Detection 5 Leak Detection 7 Hydrant Painting 6 Hydrant Painting 6 Hydrant Painting 7 Emergency Contr. Asst. 11 Contractor Asst. 9 Emergency Contr. Asst. 9 Water Meter Service 3 Water Meter Service 7 Cold Patch 9 Cold Patch 8 Hauling And Delivery 5 PW Hauling/Delivery 3 Pavement Marking 4 Line Painting 4 Bridge/Retaining Wall 2 Bridge Inspections 2 Custodial Services 8 Janitorial 4 Asphalt Patching 4 Tree Trimming 16 Street Sweeping 3 Sewer Cleaning 2 Generator Maintenance 8 HVAC Maintenance 8 JULIE Locates 2 Manhole Rehab 6 Valve Turning 5 Tree Removal/Stump Grind 16 EAB Treatment 2 Uniforms 5 Auditing Services 6 Inspectional Services 5 Landscaping 10 MPI Services Offered 2011-2013
  • 4. Growth of MPI 2012 Highest # of services - 7 2013 Highest # of services - 11 2014 Highest # of services - 23
  • 5. Research Questions  Have the communities that are involved saved money as a result of their participation? If so, how?  What were the intergovernmental dynamics that lead to the MPI?  How has the MPI adapted since its inception?  Are there lessons to be learned from the MPI’s experience?
  • 6. Three MPI Services Sidewalk Removal & Replacement Cold Patch Crack Sealing
  • 7. Research on Intergovernmental Relations and Contracting Intergovernmental Relations Contracting (Private/Public) Procurement
  • 9. Purchase Cost and Time – Best Practice Example - City of Charlotte, NC Hours Percent Cooperatives Total 16 Total Days 46 Total weeks 6.2 30% COST $596.00 RFP Total 49 Total Days 112 Total weeks 15.20 100% COST $1,345.05
  • 10. Construction Cost Trend Lines 2008-2013 Construction Cost Trend Lines 2008 2009 2010 2011 2012 2013 Bituminous Asphalt Per Ton National Ready Mix Concrete Price Fuel per Gallon Ill. Hwy. Laborer Prevailing Wage Construction Cost Average
  • 11. Procurement Data Analysis – Crack Sealing ($/LBS.) Non-MPI Price – Red Solid Line MPI Price (2011-2013) – Green Square Line DuPage Community Price – Purple Rectangular Line
  • 12. Procurement Data Analysis – Sidewalk Removal and Reconstruction ($/Foot) Non-MPI Price – Red Solid Line MPI Price (2011-2013) – Green Square Line DuPage Community Price – Purple Rectangular Line
  • 13. Procurement Data Analysis – Cold Patch ($/Ton)
  • 14. Kansas City Regional Purchasing Cooperative - AMINISTRATIVE SAVINGS CALCULATION Staff Time # Hours Rate Total Clerical Support – Includes producing, assembling, reproduction of documents, and preparation for mailing of documents/envelopes. hrs $ hr $ Buyer Hours Includes requisition review, research, determine source selection method, prepare draft and reviewing of bid document, bid opening, bid evaluation, award process. hrs $ hr $ Other costs - No. of Units Unit Cost Total Cost Paper Envelopes (including bid return envelopes, if your entity would normally have provided these) sheets envelopes ea ea $ $ Postage postage/qty ea $ Computer usage hrs ea $ Advertisements (when legally required or required by your entity policies) ads placed ea $ Total Administrative Cost To Produce Bid: $ ___
  • 15. Glenview Staff – Estimated Cost Savings of 2013 Projects Project Number of Communities Total Project Value Savings Crack Sealing 15 $555k $40-50k Resurfacing (Lake Groups 1&2) 4 $3.2m $101-121k Resurfacing (Cook Group) 2 $2.3m $148-158k Concrete Flatwork (Groups 1-5) 15 $890k $57-77k Concrete Pavement (Groups 1&2) 4 $537k $15-19k Sewer Lining (Groups 1-4) 14 $4.0m $51-61k Sewer TV 6 $261k $56-66k Contractor Assistance 9 $126k $23-31k Leak Detection 3 $53k $5-8k Hydrant Painting 6 $74k $20-30k Asphalt Patching 2 $173k $2-4k Cold Patch 8 $138k -------- Hauling & Delivery 5 $500k $2-4k Pavement Marking 4 $167k -------- Custodial Services 8 $534k $12-14k Street Sweeping 3 $174k $2-4k Generator Maintenance 7 $96k $18-24k TOTAL SAVINGS REALIZED $552,000 – 671,000 15
  • 17. 2011 Services # Comms. 2012 Services # Comms. 2013 Services # Comms. Crack Sealing 12 Crack Sealing 14 Crack Sealing 15 Resurfacing 5 Resurfacing 8 Resurfacing 6 Concrete 8 Concrete 11 Concrete 15 Sewer Lining 12 Sewer Lining 10 Sewer Lining 14 Sewer TV 4 Sewer TV 7 Sewer TV 6 Leak Detection 5 Leak Detection 5 Leak Detection 7 Hydrant Painting 6 Hydrant Painting 6 Hydrant Painting 7 Emergency Contr. Asst. 11 Contractor Asst. 9 Emergency Contr. Asst. 9 Water Meter Service 3 Water Meter Service 7 Cold Patch 9 Cold Patch 8 Hauling And Delivery 5 PW Hauling/Delivery 3 Pavement Marking 4 Line Painting 4 Bridge/Retaining Wall 2 Bridge Inspections 2 Custodial Services 8 Janitorial 4 Asphalt Patching 4 Tree Trimming 16 Street Sweeping 3 Sewer Cleaning 2 Generator Maintenance 8 HVAC Maintenance 8 JULIE Locates 2 Manhole Rehab 6 Valve Turning 5 Tree Removal/Stump Grind 16 EAB Treatment 2 Uniforms 5 Auditing Services 6 Inspectional Services 5 Landscaping 10 MPI Services Offered 2011-2013